🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

U.S. Supreme Court blocks Texas law restraining social media companies

Published 05/31/2022, 05:02 PM
Updated 05/31/2022, 05:50 PM
© Reuters. FILE PHOTO: A view of the U.S. Supreme Court building in Washington, U.S., March 4, 2022. REUTERS/Leah Millis
META
-
TWTR
-

By Andrew Chung

(Reuters) -The U.S. Supreme Court on Tuesday blocked a Texas law that bars large social media companies from banning or censoring users based on "viewpoint," siding with two technology industry groups that have argued that the Republican-backed measure would turn platforms into "havens of the vilest expression imaginable."

The justices, in a 5-4 decision, granted a request by NetChoice and the Computer & Communications Industry Association, which count Facebook (NASDAQ:FB), Twitter (NYSE:TWTR) and YouTube as members, to block the law while litigation continues after a lower court on May 11 let it go into effect.

The industry groups sued to try to block the law, challenging it as a violation of the free speech rights of companies, including to editorial discretion on their platforms, under the U.S. Constitution's First Amendment.

Conservative Justices Samuel Alito, Clarence Thomas and Neil Gorsuch issued a written dissent, saying that it is "not at all obvious how our existing precedents, which predate the age of the internet, should apply to large social media companies." Liberal Justice Elena Kagan separately dissented but did not offer any reasons.

The Texas law was passed by the state's Republican-led legislature and signed by its Republican governor. Its passage comes as U.S. conservatives and right-wing commentators complain that "Big Tech" is suppressing their views. These people cite as a prominent example Twitter's permanent suspension of Republican former President Donald Trump from the platform shortly after the Jan. 6, 2021, attack on the U.S. Capitol by a mob of his supporters, with the company citing "the risk of further incitement of violence."

The law, formally known as HB20, forbids social media companies with at least 50 million monthly active users from acting to "censor" users based on "viewpoint," and allows either users or the Texas attorney general to sue to enforce it.

In signing the bill last September, Texas Governor Greg Abbott said, "There is a dangerous movement by some social media companies to silence conservative ideas and values. This is wrong and we will not allow it in Texas."

The industry groups said the state's law would unconstitutionally allow for government control of private speech. Restricting the platforms' editorial control, the groups said, "would compel platforms to disseminate all sorts of objectionable viewpoints - such as Russia's propaganda claiming that its invasion of Ukraine is justified."

"Instead of platforms engaging in editorial discretion, platforms will become havens of the vilest expression imaginable: pro-Nazi speech, hostile foreign government propaganda, pro-terrorist-organization speech, and countless more examples," they added.

The groups also denounced what they called "viewpoint discrimination against 'Big Tech,'" in the Texas law through its exclusion of smaller social media platforms popular among conservatives such as Parler, Gab, Gettr and Trump's own Truth Social.

© Reuters. FILE PHOTO: A view of the U.S. Supreme Court building in Washington, U.S., March 4, 2022. REUTERS/Leah Millis

U.S. Judge Robert Pitman in the state capital Austin blocked the law last December. Pitman ruled that the constraints on how the platforms disseminate content violate the First Amendment.

The New Orleans-based 5th U.S. Circuit Court of Appeals subsequently put Pitman's decision on hold two days after hearing oral arguments in the case. The 5th Circuit has yet to issue a ruling on the merits of the case.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.